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Stock Split Calculator

Calculate the impact of stock splits on your shares and their value.

New Number of Shares

0

New Share Price

$0.00

Total Market Value

₹0.00

Effective Split Ratio

-

Understanding Stock Splits

A stock split is a corporate action where a company divides its existing shares into multiple shares. The total market value remains unchanged.

How to Use the Stock Split Calculator

  1. Enter the current number of shares and share price.
  2. Select the split ratio from the dropdown.
  3. Enter the custom split ratio if you want to use a custom ratio.
  4. Automatically calculate the new number of shares, new share price, and total market value.

Features

Formula

New Number of Shares = Current Number of Shares * Split Ratio

New Share Price = Current Share Price / Split Ratio

Total Market Value = New Number of Shares * New Share Price

Frequently Asked Questions

How does a stock split work?

In a stock split, a company increases its number of outstanding shares while proportionally decreasing the price per share. For example, in a 2:1 split, each share becomes two shares at half the original price. This makes the stock more accessible to investors while maintaining the same total market value.

Why do companies split stocks?

Companies typically split their stocks to:

  • Make shares more affordable for small investors
  • Increase market liquidity
  • Signal company growth and confidence
  • Attract more retail investors

Does a stock split affect my investment value?

No, a stock split doesn't affect the total value of your investment. While the number of shares increases and the price per share decreases, the total market value remains the same. It's similar to exchanging a $20 bill for two $10 bills - you still have the same value.